Samsung Settles Labor Issues In China

By Gene Ryan Briones on 11/26/2012 06:48 PST

The efforts of China Labor Watch, a New York-based non-government organization, are finally paying off. That’s because Samsung is hearing enough of the complaints and is now launching an initiative to address the unfair labor practices reported on its suppliers in China. The South Korean technology titan says that it has audited around 105 suppliers in China and found “several instances of inadequate practices at the facilities, including overtime hours in excess of local regulations, management of supplier companies holding copies of labor contracts, and the imposition of a system of fines for lateness or absences.”

However, Samsung added that during the audit in September, it found no “instance of child labor,” debunking previous reports. With regards to the unfair labor practices, Samsung is demanding suppliers to adopt a new hiring process and better measures that will eliminate working hours beyond legal limits by the end of 2014. Suppliers who will use child labor will be duly terminated, the company warns. In a statement published today, Samsung writes: “We are now designing, researching, and/or implementing corrective actions to address every violation that was identified. Corrective actions include new hiring policies and work hours and overtime practices, among other steps, to protect the health and welfare of employees.”